Potion token distribution

Potion token distribution proposal

This proposal aims to collect and ratify in a simplistic manner some of the key aspects of the tokenomics of the PotionDAO and the Potion Unlock game. Below will be some of those key aspects to be decided upon.

1 - Weighting mechanism for the unlock game. As was discussed in the PotionDAO Discord channel, the weighting mechanism for the unlock game will/should be based on the relative percentage share of the total secret that is held by a particular NFT type. This approach is not only equitable but also straightforward, as other proposals that have come through the DAO are unnecessarily difficult to implement on a smart contract level. For more information on this weighted distribution, check out the model that has been circulated.

2 - Incentive structure for active participation in the unlock game. Although the discussion around this topic has meandered back and forth, we propose the following in regards to (dis)incentivizing (in)active participation in the unlock game. All investors that have purchased NFTs should receive their allotted tokens (30% of the total supply), regardless of their actions in the reveal game. This is in an effort to not punish participants that may simply forget or that may have made a mistake (i.e. storing purchased NFTs on a hardware wallet rendering them unable to participate in the revealing process). Additionally, we propose instead to add a small incentive of 10% bonus for players to actively participate in the unlock game during the first 72 hours. Actively participating in the unlock game, i.e. revealing, should be rewarded without incentivizing revealers to engage in a gas war to reveal their secret key segments first. For that reason we suggest that any participant that reveals during the 72 hour unlock window is eligible for the bonus incentive.

3 - Terms for investors. Following what was discussed during the community call, there seems to be no consensus on any vesting terms for NFT holders. We propose to hold a separate snapshot vote on this to get clarity.